The IMF pledges $ 1 trillion to help countries struggling with coronavirus – Footwear News

The International Monetary Fund has pledged $ 1 trillion to help countries struggling with the economic and humanitarian effects of the corona virus, which has caused more than 6,500 deaths worldwide.

In a statement released on its website today, the Washington, DC-based organization said it was ready to help countries with trillions of dollars in credit capacity and around $ 50 billion in emergency funding for low-income and emerging markets. She expressed concern about her vulnerable members – those with weak health systems and a higher risk of spillover – whose funding needs are increasing rapidly given the outbreak.

"Since more than a third of our members are directly affected, this is no longer a regional problem – it is a global problem that requires a global response," Managing Director Kristalina Georgieva wrote. “The fund is fully committed to supporting our member countries, especially the most vulnerable. We have the tools to help and we coordinate closely with our partner institutions. "

Sector-wide industries have suffered losses – including the import-export industry, which has faced port closures and weeks of overseas production slowdowns, and the retail sector, which has seen widespread shop closings or significantly reduced hours of operation for remaining outposts.

To curb the spread of COVID-19, many governments around the world have imposed travel restrictions or bans. Yesterday, New York and Los Angeles made the unprecedented move of formwork pubs, restaurants, theaters, and more public spaces that invite large gatherings and close interactions – because, according to the centers, the virus is known to spread mainly through personal contact for disease control and prevention. (New York and Los Angeles restaurants remain open for take-out and delivery services.)

In addition, the Federal Reserve cut emergency rates to near zero yesterday to help the US economy weather the pandemic. The benchmark was set between 0% and 0.25% – the second time the central bank had cut interest rates in the past two weeks.

"The outbreak of coronavirus has affected communities and disrupted economic activity in many countries, including the United States," the Fed said in a statement. "The effects of the corona virus will put a strain on economic activity in the short term and endanger the economic outlook."

In the United States, confirmed cases of coronavirus have increased to nearly 3,500, with at least 65 deaths recorded. Over 169,000 cases have been reported worldwide.

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